Farm loans: RBI to consider T government's request

Hyderabad: Reserve Bank of India Governor Raghuram Rajan assured the Telangana government that he will soon sort out the issue relating to banks not pushing fresh farm loans to farmers.

Chief Minister K. Chandrasekhar Rao raised this issue on Wednesday when the central bank chief called on him.
According to an official statement, the chief minister told the RBI governor that the bankers are not pushing the way they are supposed to do with regard to fresh farm loans to the farmers.

When the chief minister sought funding for the restoration of tanks in the state, Rajan said this could be considered under the proposed window for rural infrastructure. Officials told him that the restoration of irrigation tanks required Rs.25,000 crore.

The chief minister also wanted the banks to finance improvement of green cover in Hyderabad.
The newly-created state urged RBI to have a special view on Micro and Small Enterprises (MSEs). The RBI governor said they propose to start Receivable Finances system through which they would consider supporting MSEs.